Multiple Choice
A company purchased inventory for $2,000 from a vendor on account, FOB shipping point, with terms of 2/10, n/30. The company paid the shipper $100 cash for freight in. The company then returned damaged goods worth $200. The invoice has been paid 8 days after the sale. Assuming that there was no beginning inventory balance, the cost of inventory would be: (Assume a perpetual inventory system)
A) $1,764.
B) $1,864.
C) $2,100.
D) $1,900.
Correct Answer:
Verified
Correct Answer:
Verified
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